TLDR
- XRP price reached $2.16, showing gains amid US-China trade deal optimism
- XRP outperformed Bitcoin by 10% in Q1 2025 according to the XRP/BTC ratio
- XRP-based investment products recorded $37.7M in inflows, nearly matching Ethereum funds
- XRP Ledger activity fluctuated with average daily trading volume around $3.2 billion
- Ripple controlled 75.8% of XRP’s circulating supply (about 41.69 billion tokens) as of March 2025
XRP has seen positive price action in recent days, climbing to $2.13 with an intraday high of $2.16 on May 7, 2025. This upward movement comes as cryptocurrency markets respond favorably to news of potential progress in US-China trade relations.
The price surge breaks a four-day downtrend for XRP, suggesting a possible shift in market sentiment. Technical analysis indicates that a breakout above the 100-EMA line at $2.21 could push XRP toward the $2.45 mark.
Market optimism stems from upcoming discussions between US and Chinese officials in Switzerland. US Treasury Secretary Scott Bessent revealed plans to meet with Chinese delegates over the weekend to explore ways forward in trade negotiations.
“The world has been coming to the US, and China has been the missing piece. We will meet on Saturday and Sunday to discuss our shared interests,” Bessent stated.
China’s Ministry of Commerce confirmed that Vice Premier He Lifeng will represent China in these economic and trade talks with the US Treasury Secretary. This development has boosted both traditional and crypto markets, with Bitcoin rising nearly 3% and Ethereum gaining over 1.50%.
Strong Institutional Performance
XRP demonstrated strong performance in Q1 2025, particularly following regulatory relief after the SEC withdrew its Ripple appeal. According to Ripple’s Q1 report, XRP outpaced both Bitcoin and Ethereum in terms of ETF-based demand.
Investment products based on XRP recorded $37.7 million in inflows during Q1, bringing the year-to-date total to $214 million. This figure falls just $1 million short of overtaking global Ethereum funds, highlighting growing institutional interest.
The XRP/BTC ratio, which tracks relative price strength between XRP and Bitcoin, increased by more than 10% in Q1. This metric shows XRP outperformed Bitcoin by 350% between November 2024 and early 2025, though Bitcoin has recently strengthened against the altcoin.
Daily trading volume for XRP has remained relatively stable, fluctuating around $3.2 billion for the past six months. However, network activity on the XRP Ledger dropped by over 30% in Q1, reflecting a broader market contraction.
Technical Outlook
XRP faces resistance from multiple technical factors, including the overhead trend line and the 50 and 100 EMA lines. The MACD and signal lines have recently given a negative crossover, which could limit short-term growth.
For the bullish trend to continue, XRP must overcome these technical hurdles. The 200 EMA line at approximately $1.9978 currently serves as strong support for the price.
On the daily price chart, XRP appears close to testing the $2 level, which coincides with the 200-day moving average. This level could provide support, but a break below might lead to further downside.
As of March 31, 2025, Ripple held 41.69 billion XRP tokens, representing about 75.8% of the circulating supply of approximately 55 billion tokens. The company has stated it will periodically update its XRP holdings over the next 42 months.
Market participants are watching how the US-China trade discussions develop, as positive outcomes could further boost XRP and the broader crypto market. The upcoming weekend meetings in Switzerland may prove to be a pivotal moment for global markets and risk assets like cryptocurrencies.
